AN2 Therapeutics Reports Improved Net Loss of $10.6 Million in Q1 2025

AN2 Therapeutics, Inc. reported a net loss of $10.6 million for the first quarter of 2025, a significant improvement compared to a net loss of $16.6 million during the same period in 2024. The company's total operating expenses decreased by 37% to $11.5 million, down from $18.3 million in the prior year. This reduction was primarily driven by a 48% decrease in research and development expenses, which fell to $7.7 million from $14.7 million, largely due to lower clinical trial costs following the termination of the EBO-301 trial. General and administrative expenses saw a slight increase of 6%, totaling $3.8 million.

As of March 31, 2025, AN2 Therapeutics had cash, cash equivalents, and investments amounting to $78.5 million, a decrease from $92.1 million at the end of 2024. The company’s accumulated deficit reached $216.4 million, reflecting its ongoing investment in research and development activities. The decrease in cash was attributed to net cash used in operating activities of $10.6 million, offset by $9.2 million in cash provided by investing activities, primarily from the maturity of investments.

Strategically, AN2 Therapeutics has focused on advancing its product pipeline, particularly the boron-based compound AN2-502998 for chronic Chagas disease, which is currently in Phase 1 development. The company has also entered into a licensing agreement with the University of Georgia Research Foundation to further this development. However, the company announced a workforce reduction of approximately 50% in August 2024 as part of a restructuring effort to extend its operating capital and focus on key product candidates.

Looking ahead, AN2 Therapeutics anticipates continued operating losses as it progresses its clinical trials and seeks regulatory approvals. The company has indicated that it will require substantial additional funding to support its operations and product development initiatives. Management believes that its current cash reserves will be sufficient to fund operations for at least the next 12 months, but acknowledges the need for future capital raises to sustain its business objectives. The company remains committed to addressing critical medical needs through its innovative therapeutic candidates while navigating the complexities of the biopharmaceutical landscape.